11th ASEF Forum25 October 2017, Pusan, Korea

HARRY (KWANG HO) SHINSECRETARY GENERAL

Asian Shipowners’ Association

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About ASA

MIAL

CSA

FASA

HKSOA

INSA

JSA

KSA

NACS

FASA – BSA

FASA - FSA

FASA – INSA

FASA - MASA

FASA - MFSL

FASA - SSA

FASA - TSA

FASA - VSA

Asian Shipowners’ Association (ASA)

ASA members are estimated to control about 50% of the world’smerchant fleet

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ASA Objectives

2 Main Goals

To formulate a common stand of Asian Shipowners

To promote, develop and support the

common interest of the members

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ASA Objectives Seafarers Committee

(SC)

Shipping Economics

Review Committee

(SERC)

Ship Insurance

and Liability Committee

(SILC)

Safe Navigation

and Environment Committee

(SNEC)

Ship Recycling

Committee (SRC)

Key Challenges

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BWMC CO2 Emission

Global Piracy

Ship Recycling

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Ballast Water Management Convention

Source: Korean Register

Ballast Water Management Convention

Shipowners might opt to demolish older vessels instead of making them compliant with the Convention as the expenses of fitting such ships with the necessary equipment could reach up to USD 2 million.

With the due date for fitting BWMS onboard finalized, the important issues are

• The availability of reliable equipment system• The availability of sufficient retrofitting and demolition facilities• The training of personnel on how to operate the new equipment.

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CO2 EmissionJoint Industry position to request EU MRV to fully align IMOData Collection System• The EU MRV Regulation is amended to provide for reporting of the same data monitored

under the IMO system; and

• The data reported under the EU MRV Regulation will not be published; and

• The verification procedures under the IMO DCS will be used within the EU MRVRegulation; and

• The monitoring plan templates and reporting formats, procedures and systems areidentical.

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CO2 Emission

The outcome of the Commission consultation :

• Focus on how to make the EU system compatible with the obligation of EUMember States under the IMO regime, instead of fully aligning the systems

MEPC 71• Round Table Associations submissions on how to progress on reduction of

GHG emission from Ships was well received.

• Industry proposed IMO should agree a percentage to reduce total emissionsby 2050.

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Global Piracy

• Gulf of Guinea• Remains a kidnap hotspot in 2016.

• Nigeria: Accounts for 86% of piracy and from Jan – Apr 2017, 39 incidentswere reported of which 16 suspicious approach/ sighting/ irregularactivity, 4 robberies, 16 attacks with weapons, 1 hijack and 4 kidnaps.

• Gulf of Aden• Suspicious activity dropped (UKMTO)

• ASA‘s opposition to the idea of using private armed guards as permanentcounter piracy measure in lieu of military forces

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Global Piracy• Asia - Philippines

• ReCAAP January-June 2017 report• As of 30 June 2017, 18 crew out of the 59 crew being abducted are still held in captivity.

• Reroute from the area, or enhance vigilance and report immediately.

• Transit Corridor at Moro gulf transit and Sibutu Passage established

• Implementation of security numbers on non-conventional vessels.

• 19 June 2017: Launch of co-ordinated patrol by Indonesia, Malaysia andPhilippines to fight terrorism in Sulu sea..

• 3 littoral states: Singapore, Malaysia, Indonesia, together with Thailandhave agreed to enhance co-operation by means of the Malacca Straits seapatrol and the Eye in the Sky (EiS) initiative.

12Source: ReCAAP ISC Contact details of the reporting centres

13Source: ReCAAP ISC Half-Yearly (January-June 2017) Report Summary Sheet

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HKC compliant yards

29 yards & 31 yards in process2012 2017Zero

Main engine left on ground

Jan 2012

Total paved surface

(As of Feb 2017)

Nov 2016: India- Japan Joint StatementJapan expressed its intention to support the upgrading of yards

Ship Recycling – Progress in recent years

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Positive Influence

PHP Shipbreaking & Recycling Industries, Bangladesh

Total impermeable floor with tall crane

IndiaPaki-stan

Bangla-desh

Repercussions to neighboursfor green yards

Ship Recycling – Progress in recent years

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Denmark ratified HKC on Jun 14, 2017.Turkey will accede to HKC following Panama and Denmark

7 contracting states (not less than 15 states) Merchant fleets

21.7% of GT of the world’s merchant shipping (not less than 40%) Maximum annual ship recycling volume

0.33% of GT of the contracting states’ fleet (not less than 3%)

India – Japan Joint Statement in Nov. 2016Accession of recycling states, India and China are indispensable for entry into force of HKC

Expected to accede soon: Netherlands, China, India and Japan

2012 2017Zero 6 countriesIncrease in momentum toward ratification of HKCShip Recycling – Progress in recent years

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1. Encourage governments to ratify HKC

3. Enhance presence of ASA members in Green Recycling

Recommend members to send ships to certifiedyards or yards in process of being certified, andto prepare IHM

Strengthen our activities in voicing the Asianview

Maintain a stance against introduction of afinancial incentive scheme

2. Continue dialogue with concerned organizations

Ship Recycling – ASA SRC Activities

Thank You for your attention.